Ursensollen, Germany – Seatmaker Grammer has secured two new syndicated loans, totalling €260m. The new financing structure includes a syndicated loan from five Chinese banks, and a syndicated revolving working capital loan from a further five banks in Germany. The company has also been granted €70m in subordinated loans from its majority shareholder, Ningbo Jifeng.
“The new syndicated loans provide us with financing security for the coming years as we implement our business strategy,” said CFO Jurate Keblyte. “We would like to thank our current banks and our new lenders, as well as our main shareholder, for their confidence.”
Grammer’s performance has been impacted by the current challenging market environment. Demand has been lagging behind expectations, with operating EBIT hit by increased costs in the light of volatile plant utilisation. Reduced revenues and ramp-up costs for its new North American commercial vehicles plant have also had an impact.
